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Home My WebLink About20250261.tiffRECEIVED JAN 15 2025 WELD COUNTY COMMISSIONERS CITY TOF HORNTON 2024 Agricultural Stewardship Program Report Prepared for the Weld County Board of County Commissioners December 31, 2024 CoMlskun',Goy+;0,15 01/27/2S 2025-0261 Executive Summary Thornton acquired farm land and water rights in Weld County in 1985 and 1986 as part of a water supply project. Since 1986, Thornton has contributed over $20 million to the local Weld and Larimer County economies through its Agricultural Stewardship operations, including Voluntary Payments in Lieu of Taxes to Weld and Larimer County agencies, and the use of local vendors on Thornton's projects and operations. Thornton owns 104 farms on approximately 17,161 acres in Weld County. In 2024, there were 6,941 acres included in Thornton's Revegetation Program in Weld County. To date, 6,033 acres have been approved as established self- sustaining dryland grasses by the Natural Resources Conservation Service. Thornton's 2024 Revegetation Program successfully maintained these self- sustaining dryland grasses with grazing, weed management, mechanical mowing, cutting, and baling. The remainder of the farms in Weld County will stay in irrigated agriculture until the water is needed for municipal use in Thornton. It is currently estimated that additional conversions from irrigated agriculture to self-sustaining dryland grasses will not be needed until approximately 2030. Thornton currently owns 56 farm houses in Weld County, the majority of which were leased to Weld County residents in 2024. Thornton's Farm House Repair Program addresses repair needs on Thornton - owned houses and outbuildings. Thornton uses local contractors and vendors for this program to perform anything from re -roof projects, window replacement, new siding, painting, structural fixes, to septic replacements. In 2024, for the sixth year in a row, Thornton utilized the transmountain water associated with a small number of Water Supply and Storage Company shares for its own use. In 2024, Thornton continued to expand its grazing program to additional farms. In 2024, the Ault Fire Protection Districts utilized a pond on Farm 80-22 for their annual ice training program. In 2024, Thornton completed the Thornton Northern Properties Stewardship Plan (TNPSP). The Thornton city council adopted the plan in April of 2024. 2 Introduction In 1985 and 1986, Thornton purchased over 20,000 acres of farms and associated water rights in Weld and Larimer Counties. Thornton purchased the assets for a water supply project that would be used to meet the demands of the growing city. Since Thornton's acquisitions of farms and water, Thornton has operated under a good neighbor policy of working with farmers, residents, businesses, and governmental entities to effectively manage its properties and provide benefits to the Weld County communities. This annual report provides a summary of Thornton's 2024 operations and activities in Weld County. Since 1986, Thornton has operated a local Agricultural Stewardship Office (formerly known as the Farm Management Office). The office is located on 313 acres of Thornton owned land that was annexed into the Town of Ault in 2017. The function of the Agricultural Stewardship Office is to oversee the operation, leasing, management, and maintenance of Thornton's properties in Weld and Larimer Counties. Thornton cash - leases its farms to local farmers, and several farmers who originally sold farms to Thornton continue to lease these farms from the city. Other Thornton farms have been removed from irrigated agriculture, and Thornton has converted, or is in the process of converting, these farms to self-sustaining dryland grasses. This conversion of farms from irrigated agriculture to a non -irrigated use is required by Thornton's Water Court Decree and must be satisfactorily accomplished before Thornton can deliver water to Thornton customers. The Thornton Agricultural Stewardship Office pro -actively manages Thornton's properties, tenants, vendors, and responds to issues and concerns when they arise. Since 1986, Thornton has spent over $20 million on its Agricultural Stewardship operations, which include activities such as tree trimming, structural repairs, reroofs, plumbing/heating and electrical repairs, and culvert replacements. In addition, since 1987, Thornton has made voluntary payments in lieu of taxes to taxing authorities in Weld and Larimer Counties. Since 2010, Thornton has adjusted its voluntary payments to the counties to reflect changes in property values and the local tax schedule. The 2024 voluntary payment to Weld County taxing authorities was $303,303. Since 1987, approximately $7,163,792 has been paid to Weld County taxing authorities. Over the years, Thornton has partnered with local governmental entities and businesses to enhance their operations. For example, Thornton sold land and the associated mineral rights to the Weld County RE -9 School District for expansion of the school campus in Ault and construction of a new station for the Ault/Pierce Fire District. The city has also worked with local agricultural producers to acquire land to improve their operations. Fagerberg Produce expanded their onion processing facility onto land acquired from Thornton and Longs Peak Dairy has acquired three Thornton farms to improve their operation. In addition, the City was able to contribute to the purchase of a new stock trailer and the annual student fundraiser for Highland High School's FFA program. Since 2003, Thornton has leased approximately 87,885 acre-feet of water to the Central Colorado Water Conservancy District (Groundwater Management Sub -district and Well 3 Augmentation Sub -district) for operation of an augmentation plan for irrigation wells in Weld County. The North Weld County Water District (North Weld) approached Thornton in early 2020 about the need to secure additional back-up water supplies while the Soldier Canyon Outlet at Horsetooth Reservoir was shutdown for repairs. Thornton and North Weld entered into an Intergovernmental Agreement where Thornton would lease up to 800 acre-feet of Thornton's transmountain water to North Weld during the repair project. The repair project was completed ahead of schedule and North Weld ultimately did not need to take delivery of Thornton's water. Since 2020, the Ault Fire Protection District has utilized ponds on various Thornton's properties for their annual ice training program. Thornton looks forward to its continued contribution to and cooperation with the Weld County community. Thornton's 2024 Agricultural Stewardship Operations Revegetation Project Thornton currently owns 104 farms on approximately 17,161 acres in Weld County. To date, a total of 6,941 acres in Weld County have been taken out of irrigated agricultural production and have been, or are in the process of being, revegetated to self-sustaining dryland grasses. Total approved revegetated acres by the Natural Resources Conservation Service (NRCS) are 6,033 acres. An additional 788 acres of land in Larimer County are currently in Thornton's revegetation program. Thornton implements its revegetation program in Weld and Larimer Counties with contractors and vendors that are selected through a competitive bid process that is advertised locally. Since 2006, all revegetation contractors and vendors have been from the local Weld and Larimer County communities. Since 2006, Thornton has spent approximately $4,700,000 with these local vendors on its revegetation project. Attached is a current map of the Thornton properties located in Weld County. Thornton's revegetation program has resulted in the successful establishment of a self- sustaining, dry -land cover on the farms that have been removed from irrigated agricultural production. Each farm is unique, and the revegetation process is highly dependent on natural moisture. Thornton evaluates and adjusts its revegetation methods on a yearly and farm -by -farm basis. In 2024, Thornton continued to expand its grazing program. Farm 78-15 was added to the program in 2024 and successfully grazed by a local grazing operator in coordination with the NRCS. Thornton works with the NRCS to develop a rotational grazing plan for each Farm on a yearly basis. Rotational grazing is used to prevent overgrazing and improve grassland health. Additionally, the perimeter fence for Farm 60-4 was upgraded. 4 Thornton does not allow horse grazing on its properties because this activity has led to erosion issues in the past. The dryland grasses on the other farms that have been revegetated may be cut and baled by local vendors when natural moisture has been enough to produce a harvestable stand of grass. This procedure maintains the health of the dryland grass. However, due to the lack of rain, no Farms were cut and baled in 2024. Thornton's current plans are to complete revegetation and obtain NRCS approval on a total of 6,941 acres in Weld County by 2030. The remainder of the farms in Weld County will stay in irrigated agriculture until the water is needed for municipal use in Thornton. It is currently estimated that additional conversions from irrigated agriculture to self- sustaining dryland grasses will not be needed until after 2030. This timeline is a planning estimate and is subject to change to meet Thornton's water supply needs. A significant portion of the Water Supply and Storage Company (WSSC) water that was used to irrigate Thornton's revegetated farms continues to be used within the WSSC irrigation system on farms that are still in irrigated agriculture. Tenants of Thornton -owned farms have priority in renting this surplus water. After those requests have been fulfilled, most of the remaining water is rented to other farmers throughout the WSSC system on a first come, first serve basis. Pursuant to Thornton's Water Court Decree, Thornton has initiated a recharge program to help maintain the ground water levels in the alluvial aquifer around the Ault area for well users. This program develops and implements recharge facilities that replicate historic Thornton farm groundwater return flows that accrued to the alluvial aquifer by utilizing recharge ponds to infiltrate water back to the aquifer. In 2022, Thornton constructed their first recharge facility on Farm 61-27. East Larimer County Water District currently leases this facility from Thornton for their decree requirements. In 2023, Thornton constructed its second recharge facility on Farm 78-8. Thornton successfully tested this facility in 2024 and expects to have it certified by the state in 2025. The following are pictures of Farms in Weld County, as well as a map of Thornton's Weld County Farms. 5 Farm #49N Located on the west side County Road 31 between County Road 80 and 78. In 2024, Farm 49N was in sugarbeets. 6 Farm #49S Located on the west side County Road 31 between County Road 78 and 76. In 2024, Farm 49S was in alfalfa. tarp *sea Xis f riser -r dtt 7 Farm #78-15 Located on the east side of County Road 43 between County Road 92 and County Road 94. Farm 78-15 was added to the grazing program in 2024. 8 Thornton Agricultural Stewardship Office Revegetation Map - Weld County irl Active Revegetation NRCS Established Passive Revegetation Sold Other del Irrigated Acres NORTH 11 I F 64 j.a 114 55 11/4 11/4 Lamer County Canal Start of the Perm Lateral 24 Eta llama Misr. se Mrads este ow Lorimer County Canal (tonal) Severance i ti Start of the Collins Lateral We& 75 7 Pie 91 68 45 aletborp 110 • • -2 E 118- 60-1 93 23 ~ 40-5 2 W 53-6 2933 80-2 4-14015373 2E 118-11 W\ 67 22 5 98 1-9 X61-10 76 111 115 A ft 9 6112 g1-15 50 49 N80-22 35 4�" 7 • 49 S 113 f lark 13 58 58 E ''85 1 60-5 . sat. rest • 4-. I- 42 2-2�re iiii �, 16 90 R S 92-34 E 25 92-3 Acreage Status for Weld County Farms Weld County NRCS Established Acreage: 6,033 Weld County Total Acreage in Revegetation Program: 6,941 Last updated 1211/2023 0 0.5 1 2 3 4 Miles Thornton's Irrigated Farms The Thornton farms that remain in irrigated agricultural production in Weld County are leased to local farmers on a cash -lease basis at market rates. Water from ditch company shares or wells is provided with the leases for irrigated land. Thornton generally provides three-year leases to allow farmers to adequately plan their operations. These farms had the following approximate crop distribution in 2024: Crop Shell Corn Silage Corn Wheat Alfalfa Sugar Beets Onions Thornton's Residential Houses Percent 10% 40% 5% 35% 5% 5% In 2024, of the 56 houses owned by Thornton in Weld County, most of them were leased. These houses are leased on an annual basis. Thornton's houses provide affordable housing options for residents in Weld County. Thornton's house tenants take pride in their homes, and generally stay in the houses for over five years. The city has tenants who have been leasing houses from Thornton since 1986, as well as long-term tenants who have moved from one Thornton farm house to another to meet their space needs. Sale of Thornton Houses In 2013, Thornton began the process of selling some of the houses it owns in Weld and Larimer Counties. To date, 20 houses have been sold. Thornton is not currently marketing any additional houses, but may do so in the future. Oil and Gas Leasing Following the 2022 partial mineral rights sale, Thornton retained approximately 5,000 mineral acres, 4,900 of which are in Weld County. In Weld County Thornton currently has six leases with Petroleum Development Corporation (including PDC's acquisition of Great Western Oil and Gas), 15 leases with Bayswater Petroleum, three leases with Civitas Resources (formerly Extraction Oil and Gas), two leases with Edge Energy, and one lease with Enerplus Resources. These operators have a total of approximately 130 active wells in Weld County under Thornton leases. Agricultural Stewardship Office Thornton's Agricultural Stewardship Office is located on 313 acres of its land that is annexed into the Town of Ault. The annexed land is on the northern edge of town: south of WCR 84, between WCR 33 and WCR 35. Thornton's three permanent, full-time 10 Agricultural Stewardship employees moved into the new office in late November of 2018. There are three other buildings on the property that are currently being upgraded and used to house the City's pickups as well as other city equipment used to manage the properties in the area. The barn and the garage located on this property were re -roofed in 2019. In 2020, the pole barn received a new roof and garage doors. The garage received structural repairs to the roof and concrete masonry unit walls. The garage had new windows and doors installed and the structure was also painted. Upgrades to the barn included new windows, door and siding repairs. In 2021, the pole barn and garage received updated electrical and garage door operators. The barn received new paint and doors to keep the elements and birds out of the building. Thornton Northern Properties Stewardship Plan In 2024, the city finalized the report on the Thornton Northern Properties Stewardship Plan (TNPSP). The report is titled "Future Land Use Analysis and Water Optimization Study Market Feasibility Report". The report was presented to and adopted by Thornton City Council in April 2024. Since adoption, city staff have utilized the report to develop the steps and decision support tools necessary to implement the plan. 11 Hello